Before Applying

Is an Angel Investment Right For You?

The Nebraska Angels determine if applicants are the right fit for Angel capital based on the following criteria:

The team is highly experienced, driven and coachable. For companies focused on software, there must be a Chief Technology Officer among the team members, or at least one team member with development skills/experience.

Strong value proposition. Angel investors like to invest in opportunities that are solving problems or creating value for end users.

The company has a small number of customers, the revenue model is developed and the team understands what the market can bear. Angel investors rarely consider investing in concept stage companies.

The start up requires at least $100,000 in outside capital to fuel the current growth.

In addition to the above criteria, please use the checklist below to see if you are ready for an Angel investment. If you decide you are not ready for Angel funds, there are many other resources available to entrepreneurs in Nebraska.

Angels consider the overall market, market segment, current and potential demand as well as the scalability of the business when reviewing investment opportunities. Please consider the following questions –

Do you have an identifiable market segment?

Are you able to demonstrate significant demand for your proposed solution?

What is the market size of the projected spending in your product category? Is the market growing?

How scalable is the market?

Who are your potential/current competitors?

How do you differentiate from your competitors?

What are the barriers to entry, and how do these barriers help your company maintain a competitive advantage?

Entrepreneurs should consider how much capital investment is required, and at what point in time does the investment become necessary. Please consider the following before determining whether or not angel capital is right for you –